The bill amends the Michigan Education Savings Program Act by updating the definitions and terms used within the act. Key insertions include clarifying the definition of "qualified higher education expenses" to encompass expenses for tuition at elementary and secondary schools, in addition to those already covered under the Internal Revenue Code. The bill also specifies that "qualified higher education expenses" now includes expenses related to apprenticeship programs and qualified education loans, thereby broadening the scope of what can be covered by education savings accounts.
Additionally, the bill introduces new language to define various terms such as "account owner," "designated beneficiary," and "program manager," which are essential for the administration of the education savings program. The changes aim to enhance the clarity and functionality of the program, ensuring that it aligns with current educational funding needs and federal regulations. Overall, the amendments seek to provide greater flexibility and support for families saving for education expenses in Michigan.
Statutes affected: Senate Introduced Bill: 390.1472